AFNIC Releases Paper Explaining .FR Secondary Market

AFNIC logoAFNIC, the registry for .FR (France), has published a new issues paper on the secondary market in domain names, focussing naturally on .FR. The paper is written to inform individuals as well as businesses and gives a detailed account of the concept of “secondary market”, the valuation mechanisms used, and the main players involved.

The paper notes that many sales are confidential and hence many domain name sales, especially those of higher value, are never made public. In .FR one exception was the sale of and its associated website for almost €600,000 in early 2010.

The paper notes the secondary market is sometimes disparaged as “mere speculation”, but in fact there are real economic issues at stake for businesses, which cannot nowadays afford to regard domain names as anything other than intangible assets of primary importance.

After all, it is one thing to know the price of a domain name, but quite another to understand its real value.

The paper includes a graph on the growing number of .FR sales through Sedo. In 2004 there were eleven sales, in 2005 there were 26, in 2006 there were 31, in 2007 there were 89. In 2008 there was a big jump to 258 transactions while for 2009 the paper only covers the first six months of the year, but in this time there were 159 sales.

For further information about the secondary market, the AFNIC issues paper is available from:

Europe Registry logoTo register your .FR domain name, check out Europe Registry here.